Is Venmo Credit Card Good for Building Credit [2024]?

The Visa reward credit card from Synchrony Bank is known as the Venmo Credit Card. Anybody that utilizes Venmo on a regular basis and plans to pursue receiving cash-back incentives without spending a yearly charge is the ideal customer for the Venmo card.

If you can relate to the aforementioned instances and are able to pay on time every month, then you should consider a cashback credit card since your credit score will improve significantly. Be aware, though: Missing or failing to make payments on time might result in a negative mark on your credit report.

Before you can sign up for the credit card, you must have used Venmo for at least 30 days. The moment you are eligible to apply, the credit card option will pop up in the menu section of the app. An approval or rejection decision will be made within 5-10 business days following a background check.

Is Venmo Visa Good credit card?

The Synchrony Bank-backed Venmo Visa credit card is actually a cashback card that pays you back a certain percent of the amount for almost every transaction that you initiate using the card.

The card has no annual fee, and it offers many benefits. One of these benefits includes cash back rewards on purchases. With this card, you can earn cashback on all purchases made every day, with no limit to how much you can earn. It also provides an easy way for people to pay friends and family directly from their account at any time of day or night. So, now you decide, isn’t that a great card to use?

Also Check:- How to Make Payment on Venmo with Credit Card?

What credit score do I need for a Venmo credit card?

A little forethought is required if you want to be authorized for a Venmo Credit Card. The majority of credit card offers call for excellent credit. Knowing your creditworthiness and credit rating is vital while seeking additional credit. Credit providers would like to witness a good payment history, regular income, and minimal credit use. 

Financial lenders view too much recent credit as an indication that you may not be able to keep up with your payments. Check to see whether you have recently filed for several credit cards. If you have too many credit queries, you will have a lower probability of getting accepted.

On average, this credit card requires a credit score of 670 or higher to be eligible for an application.

Venmo Credit Card Review:

The Venmo Credit Card is a customizable card with your personal scannable QR code and may be used in shops and online. With no monthly fees, you may use it everywhere Visa is accepted. Among the benefits are an introductory zero percent APR on balance transfers and purchases for the first year, as well as up to $500 in cash back incentives. The incentive structure appears to be reasonable: 3% on the highest spend, 2% on the second highest, and the remaining 1% for all other spend.

The card also has no yearly charge and no international transaction fee. If you’re a regular Venmo user, we strongly suggest the card because it’s so quick to manage and becomes quite easy to monitor your spending. The incentives are quite normal, but a 3% bonus in the highest category is impressive. In addition, if you’re fortunate, you could be eligible for a welcome bonus.

Pros:

• Allows users to use their Venmo balance as credit on their card
• Earn great cashback on different categories of Venmo
• Easy and convenient way of performing transactions 
• Personalized QR code & feature to share bill payments with other Venmo users

Cons:

• Users can only spend the amount they have in their Venmo balance, which may not be enough for some purchases.
• Lacks sign-up bonus
• Requires a very high credit score for approval

Is it safe to use Venmo Credit Card?

Venmo Credit card is a proper credit card by Synchrony Bank which was released back in the late months of 2020. It’s going to be two years since it was publically announced, and till now it has seemed to have received very positive reviews from the users. Initially, it was only available to a select group of users; however, as time passed, the majority of users became eligible to apply for it.

Venmo is quite an old and trusted service used daily by millions of users. Be assured that all the products of Venmo, including its credit card, are totally safe to use as they employ all the modern safety standards and protocols to keep your private information secure.

Venmo Credit Card Interest Rate:

There is an estimate of 17% for credit cards with a load and 15% for those without a balance, as per the Federal Reserve. The usual APRs on just this card is relatively lower than the industry averages.

Venmo Credit Card APR varies from 15.24 percent to 24.24 percent. The variable APR for cash advances is 24.24 percent. In addition, the late fees might reach as high as $40. Also, the card is entitled to Venmo’s usual 3% charge for person-to-person transfers, just like most standard credit cards. Apart from usual transactions, Venmo levies fees for bitcoin purchases. The charge fluctuates according to the quantity of bitcoin you buy.

Venmo Credit Card Fees:

Like we discussed above, the Venmo Credit Card is among those cards that don’t charge any annual fee, and on top of that, it even has 0% fees on foreign transactions. Though the Venmo credit card is entitled to Venmo’s usual 3% charge for person-to-person transfers, just like most standard credit cards. 

Other than what we mentioned, you actually don’t have to pay anything until you normally use the credit limit and pay back the used line of credit on time every month. If you fail to make the payments on time, you may incur a late fee charge of up to $40.

FAQs

Is the Venmo credit card a real credit card?

At first, it may look like the Venmo Credit card is not an actual credit card, as it promotes itself as an exclusive app based cashback or reward system card. To be honest, the claims are true. However, it doesn’t deviate from the fact that the Venmo Credit Card is very much a real credit card.

The Venmo Credit is issued by Synchrony Bank and is backed by the Visa brand. The card holds the power to affect your credit rating in both positive and negative ways. As it’s an app-based cashback card, it may have some of its limitations, however, it’s very much a credit card.

Are Venmo cards worth it?

Yes, why not? The Venmo debit card service uses MasterCard, while the Venmo credit card service uses Visa at the time of authoring this piece of writing. As with a debit card, the Venmo balance serves as the source of funds for the card’s spending limit. 

The Venmo Credit Card, on the other hand, provides a credit limit with a special cashback rewards scheme to entice customers to make frequent purchases with the card. The cards have already been used by millions of people, and you should do the same.

Does Venmo credit card do a hard pull?

With a “hard pull,” you’re applying for additional credit, including a fresh line of credit or loan from a financial provider. In other words, a lender has asked to see your credit report in order to assess your creditworthiness. When you make hard inquiries, they appear on your credit file, which might have an impact on your credit score.

A successful enrolment for a Venmo Credit Card might lead to a hard credit check, that might adversely affect your credit rating.

What credit score do I need for Venmo card?

Now, it may or may not happen, but generally, it has been noticed that a successful enrolment for a Venmo Credit Card might lead to a hard credit check, which might adversely affect your credit rating. A fair FICO score is between 670 and 800, while an exceptional FICO score is above 800. 

Out there on the Internet, you may find a lot of different numbers as the deciding parameter for your Venmo Credit Card and that’s bound to get you more confused. As a result, we took the pain and went through major credible sources to come up with the figure that anything around 670 or higher will make you eligible to apply for the Venmo Credit Card.